Trump Administration Denies Federal Approval for New York’s Congestion Pricing Program

The White House with a fountain.

President Trump halts New York’s congestion pricing program, sparking controversy and legal challenges.

Key Takeaways

  • The Trump administration has revoked federal approval for New York City’s congestion pricing program.
  • Transportation Secretary Sean Duffy cited the program’s failure to conform to federal tolling exemption guidelines.
  • New York Governor Kathy Hochul and the MTA vow to fight the decision in court.
  • The program is aimed to reduce traffic in Manhattan and fund public transportation improvements.
  • Critics argue the tolls were set to maximize revenue rather than effectively reduce congestion.

Trump Administration Terminates Congestion Pricing Approval

In a sudden move, the Trump administration has withdrawn federal authorization for New York City’s congestion pricing program in lower Manhattan. The decision, announced by Transportation Secretary Sean Duffy, cited the program’s failure to qualify for a federal tolling exemption due to its lack of a toll-free option and its primary focus on funding transit rather than reducing congestion.

The congestion pricing system, which required most vehicles entering Manhattan’s central business district to pay a peak fee, was initially authorized in 2019 to raise funds for transit and reduce traffic. However, implementation faced numerous delays due to practical and political challenges, including the need for federal exemption and an environmental study under NEPA.

Trump Declares Victory, Hochul Vows to Fight

President Donald Trump celebrated the decision on social media, declaring the end of congestion pricing and claiming it as a victory for New York. His bold statement drew immediate backlash from New York Governor Kathy Hochul, who criticized Trump’s declaration and asserted that New York would not be ruled by a “king.”

“CONGESTION PRICING IS DEAD. Manhattan, and all of New York, is SAVED. LONG LIVE THE KING!” – President Donald Trump

Governor Hochul promised to sue over the cancellation, and the Metropolitan Transportation Authority (MTA) has already taken legal action against the Trump administration. Janno Lieber, CEO of the MTA, stated that the agency would fight any federal efforts to end the tolls, citing the benefits of congestion pricing for New York’s economy and quality of life.

Debate Over Program Effectiveness and Fairness

The congestion pricing program has been a subject of intense debate since its inception. While supporters argue that it would reduce traffic and improve public transportation, critics contend that the tolls were set to maximize revenue rather than effectively mitigate congestion. Studies predicted a muted effect on congestion due to lower tolls for taxis and for-hire vehicles, as well as discounted tolls outside peak hours.

“We tried gridlock for 60 years. It didn’t work, It cost our economy billions. But you know what’s helping our economy? What’s making New York a better place? Congestion pricing.” – Janno Lieber

Transportation Secretary Sean Duffy described the tolls as “backwards and unfair,” arguing they are a burden on working-class Americans and small business owners. Some leaders outside Manhattan, like Rep. Josh Gottheimer, supported the Trump administration’s efforts, viewing the tolls as a financial burden on their constituents.

Implications for State and Federal Transportation Policies

The situation highlights the significant federal influence over state and local transportation policies. The Trump administration’s intervention underscores the complex balance of power between state infrastructure goals and federal tolling policies. This development suggests a need for congressional action to clarify the boundaries of federal authority in such matters.

As the legal battle unfolds, the future of congestion pricing in New York City remains uncertain. The outcome of this conflict will likely have far-reaching implications for urban transportation planning and the relationship between federal and state governments in infrastructure decision-making.

Sources:

  1. Trump administration terminates approval of New York City congestion pricing
  2. Trump moves to stop congestion pricing tolls in New York City : NPR
  3. Trump administration moves to end New York City’s congestion pricing | Reuters
  4. Trump kills New York’s flawed congestion pricing program